WHY there’s an uncertain future for SASSA SRD Grants in 2024

If it wasn’t already, SASSA SRD Grants in 2024 are about to become a hotly debated topic. The ANC is already leveraging social grants as a way to secure votes in the 2024 National Elections. But is the South African Social Security Agency acting in the best interest of South Africa?

TRENDING: Essential INFO for South African ID applications in 2024

Enjoying their 112^th anniversary celebration in Mpumalanga this weekend, South Africa’s ruling ANC wants to increase spending and says SASSA SRD Grants in 2024 are non-negotiable. The Social Relief of Distress grant was first introduced as a temporary stipend to cushion the vulnerable during the COVID-19 pandemic. It has since been extended several times over.

SASSA SRD GRANTS IN 2024

The latest of these extensions was communicated by Finance Minister, Enoch Godongwana, and means the grant will last until March 2025. However, there have been murmurs that it could eventually morph into a Basic Income Grant (BIG), only after a few tweaks to how SARS collects tax to help fund it.

ALSO READ: Meet the growing class of South African millionaire civil servants

The BIG would help to alleviate 60% youth unemployment currently in South Africa. Daily Investor reports that ANC’s Head of Economic Policy, Mmamoloko Kubayi, said: “A decision in terms of SRD becoming a Basic Income Grant will come later. For now, the SRD extension is non-negotiable as it has provided a lifeline to those living in poverty,” concluded Kubayi.

DOWNSIDES OF SOCIAL GRANTS

Earlier in the week, President Cyril Ramaphosa trumpeted the ANC’s pro-poor policies. Saying no other African nation provides as many as 28-million people with grants. The downside, however, as pointed out by Daily Investor, is the money for these grants comes from a pool of just 7-million taxpayers – four-times less.

ALSO READ: Essential INFO regarding 2024 SASSA payment dates

In 30 years, since the start of democracy, there’s been a 1 000% increase in the number of people receiving money from the state. In 1994 it was 2.5 million, today it’s 28 million. Economists warn this is completely unsustainable and bad for the country in the long run.

BEWARE THE WELFARE STATE

Renowned economist Thomas Sowell warns that expansion of a welfare state (like the one the ANC has crafted) does not help people and actually makes matters worse. “The financial cost of providing welfare is not the worst of the problems. The history of what’s happened when people were relieved of the challenge of survival is not encouraging,” wrote Sowell.

ALSO READ: United Kingdom lifts visa requirements for 6 countries

Welfare states often bring with them vast social ills. These include an increase in joblessness, crime, violence, drug addiction, fatherless children, and general social degeneration. South Africa is a perfect example of Sowell’s warning.

NEXT READ: Applying for a SASSA Old-Age Pension in 2024

What do you think of the future of SASSA SRD Grants in 2024? Be sure to share your thoughts with our audience in the comments section below. And don’t forget to follow us @TheSANews on X and The South African on Facebook for the latest updates.

CLICK HERE TO READ MORE ARTICLES FROM RAY LEATHERN